A J.P. Morgan strategist said that with the spread of market conditions, technology stocks and individual stocks related to artificial intelligence are unlikely to become the core drivers of market earnings in the second half of the year. According to the strategy team led by Mislav Matejka, the sell-off in the trend trading sector is likely to be coming to an end, and semiconductor stocks are nearing the oversold range. The team wrote in the research report: “Earnings per share growth momentum is still rising, which will help stabilize the sector.” Despite this, strategists expect market conditions to continue to spread, and reiterated their recommendation: buy on dips when stock prices recover due to geopolitical tension. At the same time, the team expects that the Federal Reserve will adopt maximum easing policies to push down bond yields or weaken the US dollar. Both situations will benefit the stock market.

J.P. Morgan strategists said that with the spread of market conditions, technology stocks and individual stocks related to artificial intelligence are unlikely to become the core drivers of market earnings in the second half of the year. According to the strategy team led by Mislav Matejka, the sell-off in the trend trading sector is likely to be coming to an end, and semiconductor stocks are nearing the oversold range. The team wrote in the research report: “Earnings per share growth momentum is still rising, which will help stabilize the sector.” Despite this, strategists expect market conditions to continue to spread, and reiterated their recommendation: buy on dips when stock prices recover due to geopolitical tension. At the same time, the team expects that the Federal Reserve will adopt maximum easing policies to push down bond yields or weaken the US dollar. Both situations will benefit the stock market.